Gandhinagar’s Rs.25 Cr Municipal Bond Listed on NSE

Gandhinagar, Gujarat – The Gandhinagar Municipal Corporation (GMC) became the fifth municipal corporation in Gujarat to issue a municipal bond on Wednesday. This momentous occasion was marked by Chief Minister Bhupendra Patel presiding over a ceremonial bell-ringing at the National Stock Exchange (NSE) in GIFT City, officially listing the GMC’s ₹25 crore municipal bond. This move signifies a pivotal shift in how the capital city plans to fund its future growth and infrastructure projects.

“This bond is a testament to Gandhinagar’s commitment to ‘Earning Well, Living Well’,” stated Chief Minister Bhupendra Patel during the listing ceremony. He underscored the vision of Prime Minister Narendra Modi, who in 2016 inspired urban local bodies to tap into the municipal bond market for sustainable development. “Under the inspiration of our Prime Minister and our government’s direction, 2025 is being celebrated as the Urban Development Year. This bond aligns perfectly with our approach of transforming the urban environment and empowering our citizens.”

The bell-ringing ceremony was attended by key dignitaries, including Gandhinagar Mayor Miraben Patel, MLA Ritaben Patel, alongside various municipal corporation office bearers and NSE officials. The issuance of this bond not only secures vital funds but also establishes the GMC as a pioneer, being the first municipal corporation to issue bonds within just 15 years of its establishment.

Mayor Miraben Patel expressed immense confidence in the bond’s potential impact. “As a result of this bond, the pace of development will be significantly faster,” she affirmed. “It will make public participation funds available for Gandhinagar’s development works.” She also highlighted a crucial incentive: “Since Gandhinagar Municipal Corporation is one of the first 20 municipalities in the country to receive municipal bonds, we will get an interest subsidy of about ₹3.25 crore as an incentive from the Government of India.”

Gujarat continues to lead the way in fostering financial independence among its urban bodies. As noted by Shri Ramakrishnan, NSE’s Chief Business Development Officer, Gujarat accounts for a remarkable 27 percent of the municipal bonds issued by 17 municipal corporations across the country. “So far, bonds worth ₹3359 crore have been issued by 17 municipal corporations in the country. Out of this, Gujarat is playing an important role with a contribution of ₹925 crore,” he stated, commending the state’s proactive approach.

The funds generated from this bond are earmarked for crucial urban infrastructure and city development works, reinforcing Gandhinagar’s goal of achieving sustainable development with self-reliance. With Ahmedabad, Surat, Vadodara, and Rajkot having previously issued municipal bonds, Gandhinagar’s entry into this elite group solidifies Gujarat’s position at the forefront of innovative urban financing in India.

The presence of Deputy Mayor Natwarji Thakor, Standing Committee Chairman Gaurang Vyas, City President Ashishbhai Dave, Municipal Commissioner J.N. Vaghela, and other distinguished officials underscored the collective commitment to Gandhinagar’s progressive future.